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Q. What sort of triggering events would lead someone to update their financial plan? I am 50 years old and with the recent volatility in the stock market and talk of new and prolonged tariffs that may impact my job status in the near future, is now a good time to have another look at the plan I made five years ago? And if so, what should I be focusing on in the new plan? —Anika

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FP Answers: Anika, if market volatility is bothering you then it is time for a plan review, especially if you haven’t looked at it in five years. The answer depends on whether your plan is an investment plan or a financial plan.

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Maybe the best way to answer your question about triggering events is to write about what a financial plan is and why have one. For me, proper financial planning helps you get what you want and keep it, no matter what happens. It is that simple.

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The planning process will walk you through three different steps in this order: life planning, financial planning and financial advice. That is my approach and each of these steps will have their own plan review triggering points.

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The life planning stage is about identifying the things you are doing now and want to do in the future. These things often revolve around your home, lifestyle, family and career. After identifying these things you will put a value on your assets and liabilities and prepare a detailed cash flow statement, essentially putting a price tag on your lifestyle. A big lifestyle means big money and a small lifestyle means small money. Lifestyle drives everything and answers the question, “Enough for what?”

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Financial planning follows life planning and answers the question, “How much is enough?” During this step you will look at your current and future assets and liabilities, and income inflows and outflows. After applying different financial planning and tax strategies to make things as efficient as possible you will know if you are on track to have enough, more than enough or not enough.

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Financial planning lets you know what is possible. Once you know what is possible you can revisit your life plan, test out different scenarios, start setting realistic goals and prepare a game plan. With your game plan in hand, it is time for supporting financial advice.

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It is at the advice stage when you will start incorporating financial products such as investments, insurance and mortgages into your plan. Without going through the first two steps and understanding your circumstances, how can anyone give you advice?

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Anika, if that is how you constructed your financial plan, I believe you will recognize many triggering points for a plan review and what to focus on.

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Think about the life planning step. If you experience or plan for significant life changes around your home, lifestyle, family or career, it is time to request a review.